We discuss some ideas useful when forecasting financial statements that are based on historical data. The chapter is organized as follows: First we discuss the relevance of prospective analysis for non traded firms. In a second section we a basic reviews of subjects that will be needed for...

This paper examines the behavior of ski resort property in a major New England market over the last 25 years. A constructed property price series reveals that nominal prices are quite volatile and only slightly higher today than in 1980. These fluctuations and trends are investigated with a time...

Subject Areas: project evaluation, capital budgeting, investment, constant and nominal prices, valuation analysis, NPV and NPV assumptions, cash flows, cash flows construction, sensitivity analysis, pro-forma financial statements. Example Setting: Hypothetical firm in an inflationary...

This study diagnosed the realities of deficit financing, which the on-going democratic government of Federal Republic of Nigeria has seemingly inherited from the erstwhile transitional military administration of the 1990s. Cardinal data volunteered by Central Bank of Nigeria (CBN), Federal...

The improved performance of stock exchanges in Nigeria and in other developing countries, in terms of its All-share index, stock market turnover and market capitalization has engendered public confidence in the stock market. Investments inflows coupled with enhanced economic activities has...

Experimental Markets were used to examine whether individual probability judgment biases affect market prices. This issue is important to accountants because users of accounting information (especially investors) face competitive market environments. The expectation was that it would be more...

The postponement of a reform program recognized to be necessary to control inflation is examined as a decision in an optimal control framework. With a deteriorating and increasingly costlier inflation, it is found that reforms are both more likely to be implemented and more likely to fail as...

We develop a method of measuring ex-ante real interest rates using prices of index and nominal bonds. Employing this method and newly available data, we directly test the Fisher hypothesis that the real rate of interest is independent of inflation expectations. We find a negative correlation...

Traditional comparisons of the welfare costs of inflation across economies that differ only by the mean inflation rate understate these welfare costs by ignoring the stochastic elements in the economy. Moreover, these comparisons do not reflect realistic policy choices to, say, either maintain...

Loan purchase and securitization by Freddie Mac, Fannie Mae and private-label commercial mortgage-backed securities (CMBS) grew rapidly during the 1990s and accounted for more than one-half of the net growth in multifamily debt over the decade. By facilitating the integration of the multifamily...